In a 2002 issue of the Agricultural Law Digest, we examined whether a partition of property involving related parties invokes the “related party” rule under the like-kind exchange provision. The conclusion of the article was that a partition action or a voluntary partition of property came within the exception to the related party rule for instances where the Internal Revenue Service is satisfied that avoidance of federal income tax is not a principal purpose of the transaction. Specifically, there is authority indicating that transactions involving an exchange of undivided interests in different properties that result in each taxpayer holding either the entire interest in a single property or a larger undivided interest in any of the properties come within the exception to the related party rule where avoidance of federal income tax is not a principal purpose of the transaction.